Schumer bill would slash excise tax on smaller breweries

New York’s senior senator, Charles Schumer, in an event this morning at Brown’s Brewing Co. in Troy, announced that he is joining more than 20 bipartisan colleagues to introduce legislation that would cut the excise tax on small breweries in half.

The measure, Schumer said, would help 65 small breweries across New York reinvest in their business, hire new employees and revitalize downtown communities.

Currently, brewers pay a $7-per-barrel excise tax on the first 60,000 barrels they brew per year. Under the BEER Act that Schumer will introduce, that rate would be slashed to $3.50 per barrel, resulting in potential savings of $210,000 per year for Brown’s.

26 Responses

Would be great if this passed but anything that is bad for small breweries is good for Anheuser Busch, Coors, and Miller (or whatever their foreign owners are called now) and those three have a lot more lobbyists.

Now, if they would just eliminate (or reduce) the outrageous tax on distilled ethanol, we’d be all set for a microdistilling revolution in NY (and other states, as well). The Farm Distillation bill in NY was a good start, but I believe the taxes on a gallon of distilled ethanol are, like $13 a gallon. Totally outrageous. Good luck to microbreweries in getting this passed.

“How absurd….why would anyone want to produce anything in New York State?”… Exactly!

According to the Tax Foundation website; as far as a business tax friendly climate, NYS ranks 50th out of 50. We are dead last. I thought democrats didn’t believe in trickle down economics. If Browns saves $210,000; I’ll bet the owner puts it all in some tax sheltered investment that allows Browns to escape all potential taxes. How can less taxes be a good thing?

Well, I would argue we have these taxes because the “revenuers” i.e. the IRS wanted to stop people from distilling and/or brewing their own alcoholic beverages for their own consumption and for sale to others. How could the government make money on that? Markie, if you really want to understand the root of these taxes, you should study the “Whisky Rebellion”. Do you realize that the distillation of ethanol – for any purpose, including your own consumption – is illegal in the United States unless you have both a state and federal distiller’s license? Making your own beer or wine for your own consumption is legal. The penalties for unlicensed distillation are actually quite ridiculous. Really makes you wonder abou govenment control, now doesn’t it when you can’t even distill your own whisky.

With the Money already spent by the Legislature and by Congress for the next 10 years,,,just Who is going to have to make up for the shortage?? Whose pocket is the money going to be coming from? How Schumers,,I think that is great idea..Since he is being so free with the taxpayers money, maybe he should put his money where his mouth is…Oh I know the poor man only gets paid $174,000 plus a year, my heart bleeds for him…NOT!

Did you ever notice that when Demoncrats are out Pandering for Votes and bestowing gifts upon the future campaign donors they never say who is going to have to make up for the lost money???

The concept is great, but the proposed bill seems to include tax breaks for some relatively large brewers as well as the truly small ones like Browns. Not sure if tax breaks on the first 2,000,000 barrels for companies brewing up to 6,000,000 barrels are as much of a good thing as breaks for those brewing 60K barrels or less.

Good news, these beverages are taxed at far to high a rate. Hopefully this is an issue that democrats and republicans can agree on… Though I doubt after reading some of the silly remarks posted already